Explain the four different approaches to market growth as proposed by Ansoff
What will be an ideal response?
• Market Penetration: In the market penetration growth strategy, companies grow market share by marketing
existing products and services to existing customers in new ways. Three typical ways include targeting competitor's
customers, increasing purchase frequency , and increasing purchase amount.
• Market Development: In the market development growth strategy, companies grow by selling their existing
products and services into new markets. Two typical approaches include expanding geographically into new areas
(such as selling internationally) and expanding to a new class of buyers (such as targeting different demographic
segments).
• Product/Service Development: In the new product/service development growth strategy, companies grow
market share by marketing new products and services to existing groups of buyers.
• Diversification: In the diversification growth strategy, companies grow by marketing new products and services
to new groups of customers.
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The document one business sends to another business that identifies the amount to be paid is:
a. check b. purchase requisition c. vendor invoice d. disbursement voucher
Most work resulting from proposals is covered by a working agreement or contract to avoid discrepancies in the intents of the parties.
Answer the following statement true (T) or false (F)
The three kinds of basic financial statements that are prepared in financial accounting are:
A. statement of debts, letter of credit, and articles of incorporation. B. comfort letter, master budget, and credit statement. C. balance sheet, income statement, and statement of cash flows. D. pro forma report, request for proposal, and articles of incorporation.
A limited liability company:
a. Is regulated by a well-established body of law b. Pays taxes on its income c. May issue stock options d. Must register with state authorities e. Protects the owners from personal liability for their own misdeeds